NEPRA high-ups boost their pay without cabinet approval, chairman pockets Rs3.24mn, members take home Rs2.94mn per month

The government has confirmed to the National Assembly that the chairman and members of the National Electric Power Regulatory Authority (Nepra) raised their salaries earlier this year without obtaining prior approval from the cabinet. 

According to media reports, in a written response to MNA Shagufta Jumani’s query, Minister Incharge of the Cabinet Division Dr. Tariq Fazal Chaudhry confirmed that the Nepra chairman’s salary exceeded Rs3.247 million per month, while the salaries of the authority’s members surpassed Rs2.943 million. 

In her query, Ms. Jumani sought details about the salaries and additional benefits of Nepra officials, asking whether the increases had been approved by the government. 

Although the Cabinet Division initially objected to the increase, the government later implicitly endorsed the decision while requesting a formal written explanation.

Previously, on February 18, Cabinet Secretary Kamran Ali Afzal informed a Senate panel that Nepra had been instructed to provide an explanation for the salary increase, which was said to be in violation of Section 8 of the Nepra Act. Afzal emphasized that regulatory bodies like Nepra fall under the jurisdiction of the prime minister or the federal cabinet, and thus must seek cabinet approval for any changes to their emoluments.

In his response, Dr. Chaudhry stated that, in addition to their salaries, Nepra officials were entitled to medical facilities and gratuity benefits. The chairman receives a gratuity equal to one basic pay of Rs772,780 for each year of service, while members are entitled to Rs701,005.

The minister explained that the salary increases over the last five years, from 2020-21 to 2024-25, included the yearly Adhoc Relief Allowance announced in the federal budget. Prior to the 2018 amendments to the Nepra Act, the federal government determined the salaries of Nepra officials. 

However, since the amendments, Nepra has had the authority to determine the remuneration of its chairman and members, subject to approval from the federal government.

This approval, Dr. Chaudhry noted, is based on certain principles and standards, including the specialised nature of Nepra’s work, the need to ensure financial self-sufficiency, and the salaries paid to individuals in equivalent positions in the private sector.